According to a 2012 Sallie Mae report, “How America Pays”, 35% of students borrowed education loans to pay for college and, although credit card ownership has decreased recently, 35% of undergraduates have a credit card.
Credit is an important financial tool that students need to learn how to manage wisely. Learn more about how credit card debt can affect you now, as well as in the future by watching the recorded webinar, “Staying on Good Terms: Credit & Debt“.
Credit Management Tool: Use powerpay.org to help you manage your credit, pay down debt and plan your spending. This website was created by Utah State University Extension and WebAIM.org.
Cash at College is a must-see webinar for all students headed to college. University of Illinois USFSCO’s Student Money Management Center and University of Illinois Extension have teamed up to offer this educational and engaging webinar for all University of Illinois students. This free webinar features lessons on:
how to effectively budget your money while in college
the basics of banking
options for paying your college tuition
and how to make the most of your college education
Cash at College offers an important guide to managing your finances, so don’t miss out! Watch it below or on YouTube now!
This is a Spending Badge eligible program, so make sure to take the quiz after watching to get credit!
By participating in three Spending Badge eligible events, you could earn a digital badge to enhance your online professional portfolio. Learn more about the Financial Literacy Badges Program by visiting: badges.illinois.edu/usfsco/.
When your account goes past due and is now in collections, be proactive! These tips can help you cope with and resolve accounts in collections.
OWN IT/ DON’T IGNORE IT. Contact your creditor and tell them what happened. You do not need to divulge personal information; just be truthful and give the basic facts. Most accounts receivable specialists, or “collectors,” will welcome this approach, have worked with many people in similar situations, and probably have options available.
HAVE A PLAN. The collectors don’t know what your resources are, so be prepared to offer some alternatives. Can you pay interest only for a few months or make a partial payment on the past due balance? Ask your representative for advice and what they recommend during times of temporary financial distress.
FOLLOW THROUGH. Do what you have agreed. Do not hesitate to contact the company again if your plans or resources change. Stay in continuous contact until you are able to bring your account up to date.
According to a 2012 Sallie Mae report, “How America Pays,” 35% of students borrowed education loans to pay for college and, although credit card ownership has decreased recently, 35% of undergraduates have a credit card. Credit is an important financial tool that students need to learn how to manage wisely. Learn how credit card debt can affect you now as well as in the future through this webinar.
So, you’ve gotten declined for a credit card…Now what?
Each time you apply for credit, whether it is a credit card or a loan, it is called a “hard inquiry.” This stays on your credit report for two years. While getting declined credit will not negatively impact your credit score or history, a bank or lender will look at the number of “hard inquiries” you have; the more you have, the riskier you are. However, it is important to note that if you are looking for specific types of credit, like an auto loan or a mortgage, multiple inquiries will count as only one for credit scores.
It’s also important to understand why you were declined in the first place. Reasons can include: having too low of an income, owning too many credit cards, a record of late payments, being in collections, or having limited credit history. If you are denied credit, a lender is required to tell you why within 60 days of your application being rejected according to the Equal Credit Opportunity Act (ECOA).